En Español

Very usefull links


News links




Dow Jones

Oil price



Views and News





PetroChina-Shell jv to go ahead with big gas development in Australia




By Reuters Staff

Petroleumworld 12 04 2017

Royal Dutch Shell and PetroChina have taken a big step toward a long awaited gas development in Australia, signing a 27-year deal to supply Shell's Queensland Curtis Liquefied Natural Gas (QCLNG) project.

The deal would bring to market about 5 trillion cubic feet of gas held by Shell and PetroChina's Arrow Energy in the state of Queensland, Arrow said.

Arrow's Surat Basin gas is among the biggest undeveloped resources in eastern Australia but the project has been stuck on the drawing board since getting state and federal approvals in 2013 due to high costs and weak gas prices.

The economics have improved over the past two years as local prices have soared following the start-up of three LNG plants in Queensland, including QCLNG. At the same time, demand for gas has jumped for power plants in eastern Australia.

Arrow is expected to make a final decision in 2018 on whether to go ahead with the development of its coal seam gas in the Surat Basin for the deal with QCLNG, boosting supply in Queensland by around 16 percent over current levels.

Collaboration will accelerate first gas production to approximately 2020, bringing an additional 240 petajoules per year ... of gas to the Queensland market at peak production, Arrow Energy CEO Qian Mingyang said in a statement.

Supplying QCLNG will help make the development more profitable, Shell said.

QCLNG's existing connection points with the gas market would enable Arrow to reduce development cost, making projects investable despite challenging market conditions, Shell Australia Chairman Zoe Yujnovich said in a statement.

QCLNG is co-owned by Shell, China's CNOOC and Tokyo Gas.

Reporting by Sonali Paul; editing by Richard Pullin from Reuters.

reuters.com 12 01 2017

We invite all our readers to share with us
their views and comments about this article.
Write to editor@petroleumworld.com

By using this link, you agree to allow PW
to publish your comments on our letters page.

Any question or suggestions,
please write to: editor@petroleumworld.com

Best Viewed with IE 5.01+ Windows NT 4.0, '95,
'98,ME,XP, Vista, Windows 7,8,10 +/ 800x600 pixels





Contact: editor@petroleumworld.com,

Editor & Publisher:Elio Ohep/
Contact Email: editor@petroleumworld.com

CopyRight © 1999-2016, Paul Ohep F. - All Rights Reserved. Legal Information

PW in Top 100 Energy Sites

CopyRight©1999-2017, Petroleumworld   / Elio Ohep - All rights reservedThis site is a public free site and it contains copyrighted material the use of which has not always been specifically authorized by the copyright owner.We are making such material available in our efforts to advance understanding of business, environmental, political, human rights, economic, democracy, scientific, and social justice issues, etc. We believe this constitutes a 'fair use' of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have chosen to view the included information for research, information, and educational purposes. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission fromPetroleumworld or the copyright owner of the material.